Saving/Applying for a mortgage 2020-22 Edition

blarb

https://www.boards.ie/discussion/comment/120072518#Comment_120072518

I second what Creamy Goodness said too. We were between 4 year ptsb fixed and 5 year, and we went for a slightly higher 5 year fixed rate with cashback to help us furnish the house when all deposit and fees are paid.

Do check/have broker check the overall difference in cost over 5 years before you decide to make sure you're happy with it first.

Mimojo

Just a quick note, we applied to BoI on 30/11, advisor put application through on 15/12, and we got approval through yesterday 05/01. Our application was straightforward, but I couldnt believe it was so quick as was expecting to be waiting until the end of January for an answer, esp with Xmas in the middle

OEP

https://www.boards.ie/discussion/comment/120073249#Comment_120073249

I found them straightforward at that point too but I still do not have a loan offer and my application first went in 5 months ago. My application is also very straightforward - secure jobs, well below the 3.5 limit etc.. We had to respond to one query from the bank and I believe it took IMC 3 or 4 weeks to get round to telling me about this. Communication with them has been poor. I have gone about it myself with another bank and I should get a loan offer about 3 months sooner than with IMC.

Honestly, apply yourself to the banks if your case is straightforward. Perhaps use IMC to compile all of the documents, they're useful for that.

Oh wow thanks for letting me know. Any of that sort of messing and I will tell them to feck off.

I only went with them because I got a recommendation from a friend who got sorted with them with I think minimal hassle earlier in the year.

LucianBelmau

https://www.boards.ie/discussion/comment/120073427#Comment_120073427

Ah that's good to hear. Our broker applied to BoI on 06/12 and BoI had some queries on 04/01, hopefully we'll know by next week? I know BoI is being quite slow atm. I'm with a broker and I have to say communication has been amazing, always ready and always clear throughout the entire process. Here's hoping for a quick reply! Our application was quite straightforward even though there were some queries related to previous years and the fact that I got a raise etc. We have no previous loans and LTV of about 60% which hopefully will help. Fingers crossed!

This is it

PTSB to raise rates again

https://www.rte.ie/news/business/2023/0113/1346557-permanent-tsb-to-raise-new-fixed-mortgage-rates-again/

poker2k9

https://www.boards.ie/discussion/comment/120104343#Comment_120104343

Yikes, reckon BOI will follow suit over the next 4 week? Just applied to them last week and waiting for an offer ugh.

This is it

They'll probably all follow. We're currently highest bidder but we'll definitely see at least this rise from PTSB, trying to move quick and avoid another

Galwayhurl

https://www.boards.ie/discussion/comment/120108587#Comment_120108587

It's the interest rate at drawdown not when you get the initial AIP that counts.

Are you waiting on AIP?

poker2k9

https://www.boards.ie/discussion/comment/120109335#Comment_120109335

Yeah waiting on AIP, but will ask to go for offer straight away after it because house is going to be ready before end of March.

Then again need to ask my broker what he applied for, not sure if it is possible to skip AIP

Galwayhurl

https://www.boards.ie/discussion/comment/120109682#Comment_120109682

Ah right so you have a house and time schedule in mind. That's great. All the best with it.

Only getting AIP application done now ourselves. Rate increases are beginning to stress me a little!

poker2k9

https://www.boards.ie/discussion/comment/120109721#Comment_120109721

Tell me about it! I was going for PTSB, got offer from them and all last year, but house wasn't ready. Now BOI works out better for us than them, but if BOI decides to hike rates again it will be an endless cycle 🤣

WhiteWalls

Anyone be able to give me a general timeline re my circumstance please.

Contracts issued from BOI. Waiting on solicitor for to get back to me now..

Any idea how long it will take until I have keys in my hand, just a general idea?

aislingm999

Anybody know roughly how long it takes for contracts to issue to my solicitor? Buying a new build house and it will be ready at end of February.

Aso, how long does it take to get loan offer from PTSB. I have my AIP.

Does anyone know what timelines are like with AIB at present?

I uploaded all my documentation to their site on Friday morning. Had a quick look there and everything is still pending verification.

poker2k9

https://www.boards.ie/discussion/comment/120111938#Comment_120111938

Don't know about this year, but last year (Oct) my AIP to loan offer took ~4 days. I used a broker. We already had the AIP, he put me in the loan offer queue 24th Oct, I had letter from PTSB via solicitor with full offer 27th.

For anyone else, I'm curious on timelines of offer with BOI from Dec if anyone applied to them. I'm hoping to skip AIP with them, but it seems they are running at 4 - 5 weeks?

LucianBelmau

https://www.boards.ie/discussion/comment/120115983#Comment_120115983

We applied on 07/12, BOI came back with queries on 04/01 and have been waiting for a reply since. Applied through a broker, very quick on their side. We really hope this week is going to be the good one. We managed to go sale agreed on a house we like and we're quite eager on getting that approval done and through 😅

Cork2021

just looking to see has anyone had issues with their mortgage provider when it came to having previous loans? All going well if we sell our house this year we’ll be able to clear a €40,000 loan and obviously clear our mortgage with again all going well profit plus savings of around €85,000 once all expenses are taken care of.

the plan is to either move in with the in laws(they’ve approved the move😂)for 6/12 months or rent depending if a property is available.

do banks look unkindly at the clearing of loans from the proceeds of a house sale? Even though all payments are up to date no arrears whatsoever etc.

and another question with the new mortgage rules of a 10% deposit for second time buyers and with the cash we hopefully will have will we need to save for the usual 6/12 months to prove we can pay the new mortgage? Approx €1000-€1300 a month…..

heads wrecked

herbalplants

https://www.boards.ie/discussion/comment/120116771#Comment_120116771

No brainer, move with the in laws of course! This is what they are for.

Cork2021

https://www.boards.ie/discussion/comment/120116822#Comment_120116822

That’s more then likely what will happen, but how long we stay is a different story, if it’s a case that we can go gung ho once the house is sold with the proceeds of the sale and whatever savings we have that would be ideal instead of waiting that 6/12 months of hard saving. We can’t do that hard saving atm due the loan and mortgage and car loan at the moment. Now all 3 together are around €1700 a month so well above what is needed to get a new mortgage for our price range.

herbalplants

https://www.boards.ie/discussion/comment/120116841#Comment_120116841

It is best to sell the house, move with your in laws and hold on tight. You will have better cards in your hand to buy as you are not in a chain.

blarb

Hi there,

We are in the process of drawing down our mortgage (next week fingers crossed). I have loans that were about €40k at the time of application, and will be using the proceeds of sale of my house to pay them. The bank made it a condition of our new mortgage that the loans have to be cleared in order to drawdown. So no problem there for us at least.

We went with a broker because I was concerned about the loans and also the fact that we hadn't been saving solidly (we saved something each month but not as much the new mortgage repayment amount as we got married last year). Bank basically took our loan payments into account instead as proof of affordability as we had never missed a payment.

So I would recommend speaking with a broker/bank and going through it all now to see if you get approval in principle, and if not you will know what you need to do/how long to save for if not.

Cork2021

https://www.boards.ie/discussion/comment/120117358#Comment_120117358

thats brilliant thanks, just another question. Had you the money to pay your deposit for your new home or you only paying the deposit with the proceeds of the sale as well as paying off the loans?

blarb

No problem. Yes we're also using the proceeds for the bulk of our 20% deposit. We had enough for the booking deposit, survey, valuation and a bit extra in the bank but nowhere near enough for our 20%.

Edited to add, we got lucky in that we weren't in a bidding war for our new house, and the owners accepted our offer subject to sale of our house. It would definitely serve you better to sell your current house first and stay with in-laws - leaves you without a chain to worry about and makes you a better buyer for the sellers of your new house. But I would say go for your AIP now anyway in case you get lucky like us!

Cork2021

https://www.boards.ie/discussion/comment/120118192#Comment_120118192

the chain was a reason to stay with the in laws makes for a possible quicker exit when we find the right place. I’ll ring around over the next few weeks and check what brokers/banks say about using our house proceeds towards a new house.

herbalplants

https://lovin.ie/entertainment/brad-pitt-reveals-hed-love-to-own-a-home-in-ireland

Poor Brad, he even wants to buy in Ireland 😂

WhiteWalls

Here I am buying house insurance for a home I don't even own...?!

How does that make sense?!

jwof2006

Application sent to PTSB there today- 3% 4 year fixed rate. Hopefully a quick turnaround. Figured we would not get a response from Bank of Ireland before they also upped their rates.

poker2k9

https://www.boards.ie/discussion/comment/120125836#Comment_120125836

Worth also applying there though, you never know if by drawdown their rates end up being cheaper since we are not limited to single offer.

Cork2021

Just had a good call with EBS, I explained that I might be looking for AIP come July/August depending on my house selling by that time. They asked for salary etc. I explained to him that all going well with the house sale that I’d be clearing any loan we have (except my car loan) and obviously our current mortgage. Told him we’d have a decent cash balance once the sale went through. Plenty for a deposit in our price range 300-345k with a nice bit leftover after all expenses.

so by paying our current mortgage, the loan and savings add up too roughly €1900 a month, more then enough to afford the new mortgage. They’d be happy with that once I can prove all of the above are paid on time etc.. so what it means for us is hopefully little time spent living at the in laws.

I was of the full assumption that we’d need to save €1200-€1500 a month once we sold up but it’s not.

has anyone had experience with this recently??